PROFESSIONAL TAX FLOW

Who is liable to register Under Professional Tax ?

All registered partnership firms. - All factory owners. - All shops & establishment owners (if the shop
has employed on an average five employees per day during the year) - All businesses covered under
the definition of ‘dealer’ defined in the Gujarat Value Added Tax Act, 2003 whose annual turnover is
more than Rs.2.5 lakhs. - All transport permit holders. - All Money lenders. - All Petrol pump owner. -
All limited companies. - All banks. - All district or state level co-operative societies. - All Estate agents.
- All type of brokers. - All building contractors. - Video parlors. – Video libraries. – Members of
association registered under Forward Contract Act. – Member of stock exchange. – Other professional
like legal consultants, solicitors, doctors, insurance agents etc. are liable to pay tax. (For complete
details, see entries 2 to 10 of schedule 1)

Registration
There are two types of registration.
- E.C. : Enrollment Certificate – Every person liable to pay tax under this Act (other than a person
earning salary or wages, in respect of whom the tax is payable he his employer) shall obtain a
certificate of enrollment from the prescribed authority in the prescribed manner.
- R.C. : Registration Certificate – Every employer not being an officer of Government liable to
pay tax under section – 4 shall obtain a certificate of registration from the prescribed authority
in the prescribe manner.

Documents Required for Registration

1) Proof that describe the date of business started.
2) Accounting records.
3) Details of employees.
4) Details of paid salaries.
5) Address proof.

Online Registration System

Dealer has to file online application from web portal of Commercial Tax Department
(https://www.commercialtax.gujarat.gov.in). Task of the respective application will be created in
login of concern Professional Tax Officer.
 Application Forms
- Form – 1 : Application for R.C. – PTO give Certificate in Form - 2
- Form – 3 : Application for E.C. – PTO give Certificate in Form – 4

Issuing Authority and time limit

Concern area’s Professional Tax Officer will give the registration no. in 1 day of limited period.
As per application of dealer, Professional Tax Officer will give approval to application for
Professional Tax No. Dealer can download certificate in respective form – 2 or form – 4 from
his login on website.

Returns
A monthly return in form no- 5 is to be filled latest by 15th of next month. If the no. of employees
is more than 20 than dealer can file e-Return through website.

Payment
- Employee himself is not liable to pay this tax to the designated authority. It is his
employer’s liability to deduct an amount equivalent to the employee’s tax liability from
the monthly salary of the employee and pay fixed amount as per law in Government
Treasury Office in form no – 10.
- Tax payer (employer) can make Professional Tax Payment online on website.
 1) Click on the type of Professional Tax from Left Menu.

Using Normal (VAT) Login, Employers can register by clicking on “Professional Tax Registration for
Employers”.
2) Select “Professional Tax Registration for Employers” for Employers
3) Select “Professional Tax Registration for Professional” for Professional
4) On Click of Submit “Acknowledgement Receipt for Professional Tax” gets generated with Ack No